Global Recession and Managerial Challenges

8/9/2019 Global Recession and Managerial Challenges

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INTRODUCTION

"If we had no winter, the spring would not be so pleasant;if we did not sometimes taste of adversity, prosperitywould not be so welcome.

-Anne Dudley Bradstreet


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INTRODUCTION

yWhat is Recession?

y Effects of recession on the Indian Economy?


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ECONOMIC TURMOIL MARKETING

CHALLENGES

It is a sound advice to spend more on marketingduring a recession. But many marketers will find this

advice impractical. For those that dont have extramoney available, what tactics can be used to weatherthe storm of tough economic times?

Focus on your competitors

1. Analyze company and brand health

2. Anticipate their actions


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CHALLENGES

Focus on your Brand

1.Concentrate on the core brands andproducts

2. Support your core proposition and

emphasize its value

3. Dont price or promote unless you cancut costs or can live with lower margins

4. Dont cut quality

5. Think internal branding and morale


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CHALLENGES

Focus on your Customers

1. Keep in touch

2. Review your consumer segmentation

Focus on your Communication

1. Review your Budget allocations

2. Make your creative work Harder.


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ECONOMIC TURMOIL HR CHALLENGES

8 Identified critical challenges which fall into 3 strategic

categories outlined below:

Category 1: Developing and Retaining the Best

Employees

1. Managing Talent2. Improving Leadership Development

3. Managing Work/Life Balance


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Category 2: Anticipating Change

4. Managing Demographics, Especially an Aging Workforce

5. Managing Change and Cultural Transformation

6. Managing Globalization


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Category 3: Enabling the Organization

7. Becoming a Learning Organization

8. Transforming HR into a Strategic Partner


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ECONOMIC TURMOIL FINANCIAL CHALLENGES

Did we ever hear about Recession earlier?y Great depression of the 1930s

y Began as a financial crisis in east Asia in

july,1997.

y Now a fully-blown global economic crisis


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Factors effecting India

y

Slump in real estate demandyJob cuts

y Problems in getting loans

y Redemption crisis in mutual funds

y Exports and services


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Rescue Operations (RBI Actions)

y Reduced the CRR rate several times

y Reduced the statutory liquidity ratio

y Introduced other changes in thequantum of External commercialborrowings and foreign institutionalinvestments into the capital marketsthrough participatory notes

y Cut repo and CRR.


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Could India benefit from Global meltdown??

y India has been demanding its rightful place

y May be better positioned for a quickrecovery and for future growth than manyof the other developing economies

y Indian financial sector is relatively insulatedy Domestic demand could remain a strong

driver of growth; farm income and ruralemployment are both up.


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Objectives for India

y

Ensuring that credit begins to flow againas quickly as possible

y The world bank and IMF invest heavily

in large infrastructure projects in

developing countries.


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CONCLUSION

Though the responsibility lies heavily on the shoulders of HR

professionals across the industries and the globe, coping with thisrecession-demon, it becomes the collective responsibility oforganizations for smoother transition into a normal business cycle. Asits rightly said-

Failure is the only opportunity to begin again, this time more wisely

Documents

Global Recession and Managerial Challenges